Samizdata economic illiterate of the day

We would certainly be watching out for any profiteering that might occur…we wouldn’t want that to happen, there’s no reason for it.

Western Australian Royal Automotive Club (RAC) representative Mike Upton on today’s news that quotes for a Liquid Petroleum Gas conversion in passenger vehicles had jumped markedly from A$2500 to up to $4850 in response to the federal and state governments’ combined $3000 subsidy on the purchase and installation of such equipment.

“We would certainly be watching out for any profiteering that might occur…we wouldn’t want that to happen, there’s no reason for it.” Unless, of course, it is the WA Labor government and Eric “Ripoff” Ripper who happily accept the benefits of profiteering through their collection of stamp duties whilst house prices rocket.

Whatever it is, there’s no reason for it. None at all. A massive spike in demand (thanks to government intervention) whilst an inelastic supply stays more or less constant is no sort of reason for “profiteering”; that is, a basic reactive function of the price mechanism.

None at all. A massive spike in demand (thanks to government intervention) whilst an inelastic supply stays more or less constant is no sort of reason for “profiteering”; that is, a basic reactive function of the price mechanism.

Who Are We?

The Samizdata people are a bunch of sinister and heavily armed globalist illuminati who seek to infect the entire world with the values of personal liberty and several property. Amongst our many crimes is a sense of humour and the intermittent use of British spelling.